China: PMI hits seven-month high in November
December 1, 2012
The Purchasing Managers' Index (PMI) published by the National Bureau of Statistics (NBS) and the China Federation of Logistics and Purchasing (CFLP) continued to improve and rose from 50.2 points in October to 50.6 points in November. The print was slightly below market expectations of 50.8 points but reached the highest level since April.
As a result, the PMI remained above the 50-point threshold that separates expansion from contraction in the manufacturing sector for the second month in a row. The improvement seen in November mainly reflected a better performance in three out of the five main sub-gauges that compose the index.
In particular, large gains were recorded in new orders. In addition, export orders improved for the third consecutive month and moved into expansion mode. Meanwhile, the input prices category - which is a reliable leading indicator for consumer prices - slowed to a three-month low, but remained in positive territory.